How does Native American law affect taxation?

Native American law affects taxation in South Carolina by providing certain exemptions from taxation for members of federally-recognized Native American tribes. As of 2021, there are two recognized tribes in South Carolina: the Catawba Indian Nation and the Pee Dee Indian Nation. Under U.S. federal law, tribes that are recognized by the federal government are allowed certain exemptions from taxation. For example, tribal members do not have to pay sales tax for certain purchases, such as gas and items purchased on tribal land. They also do not have to pay taxes on revenue generated through tribal-owned businesses located on tribal land. In addition, tribes have the right to collect taxes from businesses that operate or sell goods and services on tribal land. Native American law can also help protect tribal members from double taxation. In some cases, a tribal member who has income from sources both on and off tribal land may be only taxed once. This is because in some instances, tribal members may not have to pay state taxes on income received from tribal land. In summary, Native American law affects taxation in South Carolina because it provides certain exemptions to tribal members from sales and income taxes. It also protects tribal members from double taxation in some cases.

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